Is Florida Still the Cheap California?

In recent years, as people began to flee the high cost of living of Southern California in greater numbers, they frequently set their sights on Florida.  It provided miles of picturesque, sandy beaches, balmy winters, and tropical foliage like its neighbor to the west.  For those who rent and had incomes under six figures, myself among them, Florida made a logical choice.

IS THE HONEYMOON OVER?

But now for the first time since World War II, Florida has experienced negative population growth.  More people are moving out than are moving in.  The Miami-Dade/Broward/Palm Beach County metro area alone, according to a September 2 Time magazine article, has lost 27,400 residents.  Why?

Florida is becoming more expensive and public services are behind the times and declining.  The gap between its cost of living and its low level of income has become increasingly pronounced within the last few years.  As far back as 2006, census figures showed that Miami-Dade led all counties nationwide in the number of homeowners who spent at least half their income on housing costs.

We’ve all heard about rising property taxes and insurance premiums, engendered by a spate of hurricanes a few years back, but there are a few other factors, both financially-based and non, that have combined to motivate many, myself among them, to head back to California, which, despite its budget woes, makes a more affordable and progressive setting for my mentally-disabled friend Dave and me in many ways.

Here are a few of the main factors that affected us the most in our decision to leave Florida.

UTILITY COSTS

Earlier this year, our Central Florida electric utility, Progress Energy, a for-profit company with no competition, announced that it would be raising all our bills by 30%.  They said it was needed to pay for higher fuel costs from the year before and also to fund the construction of two nuclear facilities that might never even actually see the light of day.  The Florida Public Utilities Commission was all too happy to rubber stamp its request, as it would mean more taxes for the state.

Public outcry was immense, and Progress retreated, announcing a revised increase of only 15%.  Shortly afterward, however, they announced that other increases would follow.

As a result, the monthly cost of cooling and heating our modest 2-bedroom bungalow averaged near $200—and higher during the more severe temperature fluctuations of the winter and summer months. 

Recently, the municipal utility serving the greater Miami area, Florida Power & Light, announced that it too would be raising its rates by 30%.  Only this time it couldn’t blame higher prices at the pump as Progress had.  They simply insisted they needed it to “upgrade infrastructure.”

Compare this with San Diego, where we live in an apartment that doesn’t even have an air-conditioning system.  Our bill last month was a whopping $32.  In addition, utility companies in California offer discounts for low-income customers.  Sempra Energy, the gas and electric utility in San Diego, offers the CARE program, which takes 20% off the monthly bill for low-income customers and disabled customers living in the household.  Utility companies in Florida offer no such provisions. 

CIGARETTE TAX

I don’t smoke cigarettes.  In fact, I hate the smoke.  But my roommate has schizophrenia, and, along with coffee, the nicotine in cigarettes helps him concentrate better.  Dave smokes about a pack and a half a day. 

When we first moved to Florida in 2007, we were able to purchase off-brand cigarettes like Bronco and Vaquero for about $15 a carton from our neighborhood store in South Beach.  When we arrived to DeLand in May 2008, we found similar brands like Skydancer and Main Street for about $14 per carton, or about $70 per month.

However, last May, Governor Crist signed legislation which took effect on July 1, raising the cigarette tax by $1 a pack.  Suddenly, the monthly bill for Dave’s cigarettes increased to around $150 per month.

The purpose of the bill, according to Gov. Crist, was to encourage people to stop smoking.  However, for people like Dave, who depend on cigarettes and coffee as staples of life, that wasn’t an option.  He would literally be picking up stogies from the sidewalk if he had to.

Now, in California, he’s once again able to find some off-brand cigarettes called Smokin T’s for $14 a carton (tax included), reducing our expenses by about $80 per month.

SOCIAL SERVICES

The rest of the country set its eyes on California earlier this year, when its budget problems led Governor Schwarzenegger to raid the state’s SSI supplement and In Home Health Care programs. 

As bad as the situation is, California at its worst is more generous than Florida at its best.  My friend Dave subsists on SSI and Social Security disability due to his condition of schizophrenia.  In Florida, the amount was a paltry $671, barely enough to get by on.  However, even after the current budget cuts, in California Dave receives $845 a month. 

The higher cost of living off-sets that, you might counter, but we’ve yet to see any evidence of it.  For example, our 2 bedroom apartment in San Diego costs $995 a month, which is comparable—if not less—than what a similar apartment would cost in Miami.  So, here he’s able to receive nearly $200 more in SSI and disability benefits even though the cost of living in Florida is the same or greater.

Moreover, in CA, the In Home Health Care program enables me to be paid to act as his caregiver.  The state recognizes the sacrifices friends and family members have to make with their own jobs in order to take care of their loved ones.  There is no such program in Florida, despite the vast number of retirees and others who need some type of assistance.  Friends and family members are often forced to depend wholly on the income from flexible, part-time work in order to be available for the people they care for.

Although Gov. Schwarzenegger tried to discontinue this program earlier this summer, he was met with fierce opposition, and it’s still here.

As for employment, although the unemployment figures may be higher in some areas of California, the wages are about twice as high.

MEDICAL MARIJUANA

Dave has used antipsychotic medications for nearly 5 years now to manage his schizophrenia symptoms.  He’s had very limited success with them and they produce a number of undesirable side effects, like akathisia, the inability to sit still. 

As I mentioned in an earlier column, medical marijuana manages his symptoms much more effectively.  He’s able to focus on the world around him more, and functions at a much better level with much less anxiety and depression.

In Florida, where cannabis is considered a dangerous street drug, he was unable to find safe and reliable access to it, but in California, he was able to acquire a doctor’s recommendation and can now walk to a dispensary near our home and legally get what he needs.  Over the last month, his mood has improved significantly, and he’s no longer at risk for being put away at taxpayer expense for using the product that gives him the most effective relief from his symptoms.

Florida’s political action group, People United for Medical Marijuana, is currently attempting to collect 676,811 signatures from registered voters by February 1, 2010 in order to get a medical marijuana provision on the ballot, and even then, it would require a 60 percentage of the vote to become law.  Although there is a glimmer of hope on the horizon, the reality was just too far off for Dave to wait it out.

A HIGHER QUALITY LIFE

In addition to the benefits listed above, I’ve also noticed that my auto insurance premiums have come down, due in large part to the greater insurance regulation en force in California.  Groceries are also cheaper, due to greater competition and the abundance of produce.

The cooler temperatures and lower humidity make it possible to get outdoors more often, to go on long walks and stay in better shape.  The neighborhoods have very consistent sidewalks, and are full of restaurants who offer tasty ethnic cuisine at very reasonable prices.  The greater abundance of coffeehouses also provides an enhanced sense of community.

Gasoline is higher here (about $2.89 - $3/gallon), but we find that we’re driving about 80% less.

Granted, it’s not for everybody.  If you’re a homeowner and don’t really care about the school system, it may be more convenient for you to live in Florida still.  I’m only speaking about our own personal experience.

Don’t get me wrong.  I still love South Florida for its unique charms—its balmy breezes, warm ocean water and exotic feel—but for everyday life—at least for us—California gives us more bang for the buck.  And if Florida wants to win its population back, these concerns I mentioned above are some of the issues it will need to address.

Related Links: • Comparing San Diego to Miami • How to Enjoy a South Florida Vacation on a Recession Budget Related Categories: Planner Miami: Local News, Douglas Eames is a freelance writer, homespun philosopher and budget bon vivant who divides his time between Southern California and South Beach. See more articles by Doug. See more articles by Doug Was This Post Helpful? Please Share It With Others! Tweet

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"Is Florida Still the Cheap California?"

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